BUZZ-Bumble falls after lower-than-expected Q1 revenue forecast on slow user growth

Shares of dating apps operator Bumble BMBL.O plummet ~17.04% to $6.72 premarket

Bumble forecast its first-quarter revenue below analysts' estimate on Tuesday, signaling that its efforts to boost growth are taking longer than expected to reap results

Online dating apps have been grappling with declining user engagement and customer spending on their platforms amid a lack of new features and pressures from still-high inflation

At least seven brokerages cut PT following results, according to data compiled by LSEG

RBC believes that COVID-19 has had an adverse social effect on some portion of "would-be daters", leading to reduced engagement with dating apps across the industry; cuts PT to $7 from $8

Bumble's redesign efforts to improve user engagement, quality, and authenticity are facing challenges that will take several quarters to overcome- RBC

J.P.Morgan does not expect Bumble's Q1 to get a boost from the new product release in mid-March; cuts PT to $7 from $8

Avg. rating of 21 analysts is "hold"; median PT $8 - LSEG

BMBL stock fell ~44.8% in 2024